Underage gambling is a growing concern online. Today’s digital-first environment makes gambling easily accessible 24/7 – from regulated platforms with varying levels of ID checks to unlicensed crypto casinos with little or no effective age verification.
While many licensed platforms implement robust Know Your Customer (KYC) verification procedures, most wait until withdrawal to verify a user’s identity. This creates a window where minors can gamble and experience harm unchecked.
In this article, we explore the scale of the problem across different countries, how online casinos approach age verification (or don’t), and why stronger, earlier safeguards are urgently needed.
Key Takeaways
- Underage gambling online is rising globally, and so is problem gambling among minors.
- Countries like the UK lead in pre-deposit KYC enforcement, setting a global regulatory benchmark.
- Many platforms verify ID only at withdrawal, allowing minors to gamble with real money before being stopped.
- Some crypto casinos skip ID checks entirely, creating minimal-barrier entry points for minors using only a crypto wallet.
- Stronger global regulations, parental education, and mandatory pre-deposit KYC are urgently needed to protect youth.
The Scale of Online Underage Gambling Globally
United Kingdom
According to a 2024 study by the UK Gambling Commission, 27% of 11–17-year-olds had spent their own money on gambling activities in the past 12 months, with 21% engaging in regulated forms.
While the majority of this only accounted for arcade games, such as claw grabbing machines and not online casino games, the study still showed a 6% gambling participation rate when these were excluded. This is 50% higher than the previous year’s report which showed 4%.
It is unclear how much of this gambling has to do with online gambling sites and how much of it is gambling between friends and family, such as playing poker for real money. However, the increase is concerning.
The Guardian also reported that underaged online gambling have been increasing from 2023 to 2024, with many using family accounts to gamble online. It also mentioned that problem gambling among children have more than doubled, affecting an estimated 85,000 minors.
Australia
According to a 2025 report by the Australian Institute, about 30% of Australians aged 12–17 (about 600,000) had gambled within the past year, rising to 46% among 18–19-year-olds (about 902,000).
While unclear how much of it is done at online gambling sites, as loot boxes and other in-game purchases are also taking into account, it was mentioned that youngsters are more likely to participate in gambling than a sports activity, which sounds alarming.
Furthermore, the study revealed about A$18.4 million is being spent on gambling per year among minors aged 12 -17, which is about A$30 per person and year.
Another 2020 study, conducted by GambleAware, separated gambling in video games with other forms of gambling, showing that 30% of 12-17 year old’s had participated in real-money gambling in the past year, while 40% had gambled within video games.
Based on 551 respondents, the gambling products used and median wagers on them were as follows:
| Gambling Product | Median Spending | Participation Rate |
|---|---|---|
| Pokies | A$19 | 3% |
| Race betting | A$10 | 4% |
| Scratchcards & lotteries | A$10 | 11% |
| Keno games | A$10 | 5% |
| Bingo games | A$15 | 6% |
| Poker games | A$34 | 1% |
| Casino games | A$13 | 3% |
| Sports betting | A$20 | 5% |
| Esports betting | A$21 | 1% |
| Fantasy sports betting | A$43 | 3% |
| Informal private betting | A$14 | 17% |
Another survey, carried out by the Royal Children’s Hospital, showed that many parents (39%) are concerned about the children’s gambling habits, yet only half of the participants mentioned talking about it with their kids.
Europe
According to the 2024 European School Survey Project on Alcohol and Other Drugs (ESPAD), 23% of 15–16-year-olds across 37 European countries reported having gambled for money in the past year—either in person or online.
Among those who reported gambling, two-thirds said they had done so online.
The gambling games were defined as slot machines, card games, dice games, lotteries, horse and greyhound racing, as well as sports betting. Among the countries, Italy showed the highest gambling rate.
The survey also revealed that the participation rate online has been growing, from 7.9% in 2019 to 14% in 2024. So has problematic gambling, which was reported to have nearly doubled during the same timeframe, especially among females.
This rapid increase signals that youth access to online gambling is becoming more normalized across Europe.
Spain
A 2024 study of 18–25-year-olds in Spain found 16.3% gambled in the past year, with 3.1% classified as problem gamblers.
The same study cited a 2022 report by the National Plan on Drugs, which revealed that 24% of people aged 15-24 had gambled offline in 2022, and 6.5% online.
Canada
A 2021 national report titled Understanding the Odds revealed that 21% of Canadian youth aged 12–18 had gambled for money in the past year. This included activities like playing lottery tickets, card games, sports betting, or gambling through online platforms.
The breakdown showed that 12% had gambled in person, while 9% had gambled online. Notably, 18-year-olds were the most likely to gamble online (12%), while 13-year-olds had a lower online participation rate of 8%.
Gender differences were also clear: 30% of male youth reported gambling for money compared to 13% of females. Interestingly, non-binary youth were as likely as males to engage in gambling.
The report also emphasized that youth who gamble online tend to gamble more regularly, while those who exclusively gamble online are less likely to have any friends in real life.
How Online Casinos Attempt to Prevent Underage Gambling
Many online casinos claim to have measures in place to prevent minors from gambling, but the effectiveness of these measures varies significantly depending on regulation — or lack thereof.
Weak Standards: KYC Only on Withdrawals
One of the most common industry practices is to postpone identity verification (KYC) until a player requests a withdrawal. While this process ensures that winnings only go to verified users, it allows anyone — including underage individuals — to deposit and gamble freely.
By the time KYC is triggered, a minor may have already lost money, experienced gambling-related harm, or developed unhealthy habits. The damage is already done.
This model highlights a glaring loophole: the lack of pre-deposit verification allows underage users to fully participate in real-money gambling with little resistance.
A Benchmark Standard: What the UK Does Differently
In contrast, online casinos licensed by the UK Gambling Commission (UKGC) are required to verify a player’s age and identity before any gambling activity can take place.
The verification process typically includes:
- Cross-checking the user’s name, address, and date of birth against third-party databases (such as credit reference agencies or the electoral roll).
- Requiring additional documents, like a government-issued ID or utility bill, if the automatic verification checks fail.
This upfront approach is currently one of the strongest deterrents in the industry. Although not flawless (as minors can still potentially use their parents’ information), it sets a regulatory standard that other jurisdictions have yet to match.
The Crypto Casino Danger: No KYC at All
Perhaps the most concerning trend is the rise of crypto casinos that require no identity verification at all. Players can sign up with an email address, deposit cryptocurrency, start gambling, and even withdraw funds without meaningful age checks.
Because crypto wallets are decentralized and easy to create, minors with access to a smartphone and internet connection can use these sites despite the fact that the platforms often mention age restrictions.
A 2022 review by the University of Bristol found that none of the 40 studied crypto operators verified user identity at registration, and over 60% offered no responsible gambling tools, such as self-exclusion or deposit limits.
With the global crypto casino market valued at more than $80 billion (although these figures are debated with some claiming just $11 billion), and continuing to grow rapidly, this lack of regulation poses a major threat to youth protection.
Why Delayed or Absent Verification Fails Young People
Even when verification systems exist, if they are not implemented at the right time, they become ineffective. The key problem is timing:
- Post-withdrawal KYC means underage users can play with real money for hours, days, or even months before being challenged.
- No KYC at all, common in crypto gambling, eliminates any friction to entry and allows minors to both gamble and profit without oversight.
These flaws not only endanger children but also erode the industry’s credibility and increase the risk of long-term addiction and financial harm among young users.
Educational campaigns and parental monitoring can help, but ultimately, platform accountability is what will move the needle. Without proper regulation, operators have little incentive to change.
The Way Forward: Toward Better Safeguards
To reduce the risk of underage online gambling, multiple strategies need to be adopted across jurisdictions:
- Mandatory KYC Before Deposits – Gambling platforms should be required to verify age and identity before allowing any deposits, not just before withdrawals. This prevents access at the front door, not after the damage is done.
- Regulating Crypto Casinos – Jurisdictions must start holding crypto casinos to similar standards as traditional operators. If a platform can be accessed by users in a given country, it should be bound by that country’s age verification laws.
- Technology-Based Age Detection – Tools such as AI-powered facial recognition and document verification software can add another layer of protection. While controversial, these tools are increasingly effective and minimally invasive.
- Global Collaboration – Regulators should work together across borders to close loopholes exploited by unlicensed offshore platforms. An international watchdog for gambling could help establish unified minimum standards.
- Education & Parental Involvement Finally, awareness campaigns targeting both youth and parents are essential. Many parents remain unaware that their children gamble or how easily they can access these platforms.
Conclusion
The issue of underage gambling online is no longer confined to a few poorly run websites. It’s systemic. While countries like the UK offer solid models of regulation, many others lag behind. At the same time, crypto casinos continue to expand, offering minimal safeguards for underage access.
To protect vulnerable users, a shift in both mindset and policy is needed. Age verification must happen early. Crypto platforms must be brought into the regulatory fold. And international cooperation must ensure no child is left exposed simply because of the jurisdiction they live in.
Only by combining regulation, innovation, and education can the global online gambling space become safer for the next generation.